Invest with Harvest

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with
Harvest

Harvest Hotels Snapshot

Harvest Hotels will be the Investment Manager and operator of pubs within Harvest Pub Fund 3

Established

2014

Previoulsy the founders were operating large format pubs and registered clubs in Sydney

Combined Equity IRR

29%

Weighted average equity IRR since inception post management fees

FY 2021 Yield

11%

Annualised cash distributions paid in FY 2021 in Fund 1

Pubs2

$182m

Freehold going concern Pub’s currently owned and operated by Harvest in high growth and robust LGA’s within NSW

1. IRR calculated after management fees, performance fees and other related expenses are deducted. The Investment Strategy of the Harvest Pub Fund 3 (SA) differs from the investment objectives of some of Harvest’s prior Pub investments and the past performance of prior investments is no indicator of Harvest Pub Fund 3’s likely performance. There is no guarantee that Harvest will succeed in its investment objectives or that the Harvest Pub Fund 3 will obtain these returns.

The opportunity - Harvest Pub Fund 3 (South Australia)

Launching May 2022, Fund 3 is an Adelaide growth and yield strategy, the Fund is open-ended will be comprised of freehold going concern pub assets in its Target Regions

Equity Raise1

$125m

Total expected equity to be raised over the life of the Fund in multiple tranches

Target Return

17%

Total expected equity to be raised over the life of the Fund in multiple tranches

Target Cash Yield

8%

The Fund targets an 8% per annum cash yield paid quarterly to its investors

Fund Size

$250m

Target fund size, includes first mortgage facility with maximum LVR of 50%

1. Expected raise over the life of the Fund

a. IRR calculated after management fees, performance fees and other Fund 3-related expenses are deducted. Any forward-looking statements are subject to uncertainties and risks that may mean those forecasts made by Harvest are materially different to actual events. The Investment Strategy of the Harvest Pub Fund 3 (SA) differs from the investment objectives of some of Harvest’s prior Pub investments and the past performance of prior investments is no indicator of the Harvest Pub Fund 2’s likely performance. There is no guarantee that Harvest will succeed in its investment objectives or that the Harvest Pub Fund 3 will obtain these returns.

b. This Offer is open to Wholesale Investors only.

The Strategy

01

ACQUIRE

We target pubs in high growth, resilient centres that have the economic scale required to drive a large format iconic pub.

02

IMPROVE

Through focused capital expenditure and operational improvements we target immediate earnings improvements through expanding the product offering to cater for a broader range of customer segments.

03

OPTIMISE

With our institutional grade systems, marketing technology, and bulk purchasing power we target continuous and strong earnings growth.

04

EXIT

We intend to deliver a geographically diverse portfolio of high quality pubs. We are targeting a premium valuation for the portfolio over and above the underlying valuation of the individual assets.

Fund and Investment Manager Overview

Harvest Hotels is an experienced pub operator focused on acquiring, redeveloping and operating pubs in major regional centres in order to generate strong cash yields and capital growth for its investors.

Harvest currently manages $182 million of pubs assets in regional NSW across 2 Funds and is establishing its third pub fund in suburban Adelaide with an expected terminal value of ~$250m

Harvest is well resourced manager supported by a team of hospitality and financial professionals with an exceptional track record of delivering value to its investors

Since inception Harvest has returned a weighted average equity IRR of 29% (post fees) to its investors

Our team are driven by creating iconic pub experiences, and bringing real benefits to the communities in which we operate.

Our current venues include

The Courthouse Hotel, Tamworth
Brady’s Railway Hotel, Albury
The Milestone Hotel, Dubbo
The William Farrer Hotel, Wagga Wagga
Woy Woy Hotel, NSW Central Coast
The Northside Hotel, Albury
The Victoria Hotel, Wagga Wagga

For more information on Harvest Pub Fund 3 or to register your interest to invest with us, please get in touch: